Mergers and Acquisitions are unpredictable. Not a single process is the same, just as neither of the companies or their problems and business models are the same. At Clifton Finance, we have over 30 years’ experience and we know all possible issues that might arise. This helps us to create the optimal framework and preparations for the process to ensure a successful transaction.
All M&A processes are about the transfer of a company at a price that is related to the future cash flow of the company and the risks involved. Drivers of risks include the maturity of the company, the quality of the (internal) organization and management, the business nature (trade, production and services) of the company and the markets in which the company operates.
In this uncertain process we believe the careful planning of the process and all the steps to be taken is key. In all cases of a company sale, we will first make an assessment of the risks by means of analysis of the company prior to the process. We then address the identified risks, either to restrict or mitigate them or explain them properly to potential buyers. This is to avoid surprises later in the process and taking the risk of a failure of the sale process unless the seller makes significant concessions on the price at a late stage of the negotiations. A sales process with proper preparations that avoids surprises obviously will much more likely to be successful.
In acquiring a company we will use our longstanding experience and find the delicate balance between an accurate assessment of the involved risks with it’s value implications and the deal momentum of the transaction. It is important to take exactly the right steps at the right moments, especially when there are multiple buyers or a sales auction. Therefore, an assessment of your bargaining power in the process is essential.
Our approach is characterized by facilitating a customized process for you. Based on our experience we quickly pinpoint the essential problems and an assessment of the balance of power in the transaction. We will make effective use of all digital technology in the process. Our service is a totally customized process: Small and effective teams and a process that matches the size of the transaction.